Since the middle of Wednesday's GMT trading hours, the GBP/USD currency exchange rate has trade sideways near the 1.2400 level.
By the middle of Thursday's trading, the rate was approached by the support of the 55 and 100-hour simple moving averages, which, in theory, should push the pair up.
Economic Calendar
This week, data can be ignored, as the fundamental background is changed in a way that historical data does not matter.
However, take a look at the list of previously notable events, as the markets will be looking at them to understand the impact of the coronavirus.
GBP/USD short-term review
In regards to the near term future, the pair was expected to make another attempt to pass the resistance of the 1.2450 level. The rate would be pushed to test the resistance by the 55 and 100-hour simple moving averages.On the other hand, if the SMAs fail, the currency exchange rate could pass them. In this case the rate would have no support as low as the new monthly simple pivot point at 1.2345.
Hourly Chart
On the daily candle chart, the pair is located below the daily simple moving averages, which were located from 1.2662 to 1.2868. It signals that the rate could continue to surge.
However, the pair faces a 50.00% Fibonacci retracement level at the 1.2465 level. It can be measured by connecting the March low level with the December high level. This level has kept the rate down since March 27.
Daily chart
Read More: Technical Analysis
Bullish sentiment stops decline
Since last Friday, on the Swiss Foreign Exchange long sentiment declined from 68% to 58% on Wednesday.
The decline had stopped on Thursday, as on that day 60% of volume was in long positions.
Previously, as the pair surged and afterwards traded sideways, some traders took profits. However, a majority, 60%, still expect the surge to resume.
The decline had stopped on Thursday, as on that day 60% of volume was in long positions.
Previously, as the pair surged and afterwards traded sideways, some traders took profits. However, a majority, 60%, still expect the surge to resume.